Daily Mirror (Northern Ireland)
Crash cons crackdown Bill to stop bogus whiplash claims
A CLAMPDOWN on bogus whiplash accidents could save drivers £1billion a year.
The Government yesterday announced new rules to tackle what it called the “easy payday” for swindlers putting in dodgy insurance claims. Measures in the new Civil Liability Bill include setting fixed amounts of compensation and banning claims without medical evidence.
Ministers reckon it could save every driver around £35 each, which insurers have pledged to pass on to motorists.
Personal injury claims involving traffic have jumped 50% in a decade, despite a fall in the number of reported accidents.
The rise has been fuelled by “predatory parts” of the claims industry that encourage minor, exaggerated and fraudulent claims, the Ministry of Justice said. Justice Secretary David Gauke said: “The number of whiplash claims has been too high for too long and is symptomatic of a wider compensation culture.”
Ministers also confirmed plans to change a calculation used to determine the size of personal injury compensation payments after a backlash over surging costs for motorists and the NHS.
Huw Evans, from the Association of British Insurers, said: “If passed, these proposals would be great news for motorists.”
However, the £35 a year saving is less than previously forecast.
Meanwhile, increasing repair costs because of more expensive car parts have pushed the average annual comprehensive policy up 9% to £493 in the past year.
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